help im just entering into an iva and all seemed well.we are on a very small income and everything was set for 150 per month and i was comfortable with this now we are waiting to see if we can get housing and council tax benifit i mention this to my ip and now he saying that he wants to wait so he can push up the payments and this im not happy with as yeh i might be able to pay more now but i dont know how long for and it seems from what ive read once you set the payment its hard to change after and this why alot fail.i have since now found out that the benifit claim wont even be looked at until 1st dec. i had alot of issues before i under took this and talking to the adviser i felt like they really want to help me out of this debt and now after talking to the ip i feel like they are setting me up to fail! help.
Sorry you seem to be having a few problems, however, if your income goes up then your payments will go up as well.
If you lose income then you can have your payments lowered, initially by up to 15% at the IP's discretion or otherwise a variation meeting with the creditors will have to be held.
Good luck with your application.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
What you need to realise Helen is in an IVA, your payments are set at the start based on what your disposable income is once your income and allowable expenditure has been agreed, but this figure can and most likely will change throughout the course of your IVA, it's not like taking a loan out where your payments are set from the outset and don't change irrespective of what happens to your income or outgoings.
The point of an IVA is to try to repay as much as you possibly can and anything that is not paid off at the end is written off, your IP is obliged to maximise the return for your creditors so if there are any changes to your income or expenditure that mean an increase in disposable income then your IVA payments will increase.
Please make sure you fully understand and appreciate how an IVA works, your IP will not want it to fail once it starts, so it is imperative you are fully aware of what you are taking on
Payments do go up and down. In my first year, I was paying £365 per month but due to a pay rise, this went up to £397 per month. However in year 3 what with cost of living increasing dramatically etc my payment came back down to £365 per month, and I have just had my review to take into my 4th year of repayment, and despite a £5k pay rise this year my payments have remained the same at £365 to take into account the again increased cost of living.
What I would say is make sure your IP has all of the information to work with, the clearer you are, the easier it will be at your review. I was also surprised to learn today, that if your earnings increase by more than 10% in the year, it may be possible to offset some household costs (provided receipts are kept) before the additional is paid. Examples of these costs could be car repairs, dental or optical work, large vet bills or essential replacement items around the home - fridge, freezer, sofa etc. I just thought I would mention in case this was useful to anyone. What I would say is keep it up, it does get easier, and I am proud to say I am now going into my 4th repayment year. DFD due 3/9/2013!
10 down. 50 to go. DFD planned 3/9/2013! Getting there slowly but surely.
